Invest in bank guarantee (BG) or SBLC: choose the best

There are many entrepreneurs who invest in various banking instruments like Bank Guarantees or Standby Letters of Credit and make a lot of profits with these types of banking instruments. However, there are so many people or entrepreneurs who still have no idea to invest in bank instruments like BG OR SBLC.

First, let’s understand what SBLC and bank guarantee is used for.

What is SBLC?

The standby letter of credit or SBLC is a payment guarantee that is also called a documentary letter of credit issued by a bank on behalf of a client if the client does not fulfill a contractual commitment with a third party in accordance with the terms and conditions of the letter. of credit. The SBLC is known to be the savior of people who fall into a big disaster. Unless the situation is very critical, no one normally uses an SBLC. This is why it is called a payment of last resort.

An SBLC can help you stay away from bankruptcy and can be a great source of trust. Having an SBLC helps you in terms of doing business both on the domestic and international platform as it means that you have a good financial history with the bank and the bank trusts you. This trust helps you strengthen your business to a great level.

What is a Bank Guarantee or BG?

Bank guarantees (BG) are credit products to ensure the successful fulfillment of the commitments that your clients have contracted in future international exchanges (as a debtor or as a buyer) that if something happens for which you cannot pay them the money, the bank will make the payment in arrears against the presentation of demand in writing in the guarantee. With a bank guarantee, you can improve your business by opting for financial services from reliable banking institutions.

You can also increase your profits and make more successful deals.

However, in both cases, you must ensure that you are aware of all the terms and conditions and understand any and all investment needs. Investing the wrong way will only get you into trouble.

Now the question is whether investing in SBLC or Bank Guarantee really has any purpose.

Investing in SBLC or BG really depends on the SBLC and BG providers who provide you with various opportunities to invest in these instruments. That means the most important thing to do is to find a legitimate provider to help you with the same.

Stairmaster Stepmill 7000 PT – So what’s the problem?

The Stairmaster Stepmill 7000 PT offers, in my opinion, the best workout you can get, whether in the gym or in your basement. Stepmill combines the ease of walking on a treadmill with an intense lower body workout. When you see the machine in the gym, you will notice that this piece of equipment is usually the largest exercise machine, but don’t let this size intimidate you from using this fantastic exercise machine.

I must be honest and mention that prior to my review I had never given the Stairmaster Stepmill 7000 PT a second look because I really didn’t understand how to use the machine and didn’t want to look like an idiot trying to use this. piece of gym equipment.

Boy was I wrong, this machine is very easy to use and provides detailed feedback on your workout. You can walk between 24 and 162 steps per minute and there’s a quick start button that makes getting on and off a breeze. Be careful though because if you haven’t used this machine when you click the quick start button you will need to program the initial speed of your steps and I automatically made the machine run at 100 steps per minute, big mistake. I quickly slowed down, which is very easy to do on this machine, to about 40 steps per minute.

This allows you to warm up at a decent pace without killing yourself and at first you don’t think the workout is really anything special. She feels like she’s walking up a bunch of stairs and within 5 minutes she really starts to feel the burn in her lower legs. It’s not a serious burn where you feel pain, a burn where you can feel muscles working in areas where muscles haven’t been used before. On the LED screen right in front of you, a list of your facts is constantly displayed. Everything from the number of steps you’ve taken to the number of floors you’ve climbed to the equivalent of miles walked.

The Stairmaster Stepmill 7000 PT also provides a heart rate monitor so you can stay in your comfort zone or challenge yourself. I was pleasantly surprised and have now added a new piece of gym equipment to my arsenal of training machines. This has now dwarfed all my other training machines because I didn’t have the knee pain that I had on the treadmill and I burned almost twice as many calories as I did on the elliptical for the same amount of time.

So the next time you hit the gym or are looking to invest in a great training machine, give the Stairmaster 7000 PT a try and I think you’ll absolutely enjoy the benefits for years to come, now get out there and work out.

An example of financing a letter of credit using warehouse receipts

The example involves a grain trader in Minnesota who purchases a shipment of grain from a producer and then plans to resell the same grain to a buyer in the Middle East. Using what is called the “warehouse receipt financing” method, the Minnesota merchant purchases the grain and “deposits” it in a recognized public warehouse and, in return, receives a warehouse receipt, identifying, among other things, the type of grain, its quality, quantity and the date it was received in the warehouse. The merchant takes this deposit receipt to his bank as proof of ownership and, assuming everything is in order, the bank will make a loan to the merchant, a loan based on the estimated market value of the grain, less a percentage amount (a sometimes called a “haircut”). The merchant then contacts the buyer in the Middle East, who agrees to purchase the goods from the seller’s public warehouse in Minnesota.

The L/C mechanism in this case is as follows:-

1. The contract of sale is agreed between the Minnesota seller and the Middle Eastern buyer and both parties agree to do business on the basis of a letter of credit.

2. The buyer asks his bank to issue an L/C. This bank is the issuing bank. The L/C specifies that the seller must present certain documents to the bank before receiving payment and, in this case, the main documentary requirement is the deposit receipt.

3. The issuing bank notifies the seller through the correspondent bank (advising bank) by SWIFT and then sends the original letter of credit to the seller.

4. The seller presents his bank with a bill of exchange (giro) based on the conditions of the L/C together with the deposit receipt and requests the negotiation.

5. The seller’s bank verifies the conditions of the L/C and the deposit receipt document. If the terms of the L/C are determined to be consistent with the documents, the seller’s bank pays the seller. However, the seller must be very careful as the bank cannot pay the bill of exchange if there is any discrepancy between the conditions of the L/C and the documents provided by the seller. If a discrepancy occurs, the seller has to inform the buyer and ask him to apply to the issuing bank for an amendment of the L/C accordingly.

The rules for letter of credit transactions are comprehensively addressed in the International Chamber of Commerce (ICC) rules called “UCP 600”, which were updated this year.

For more information on developing Depository Receipts, Letters of Credit, or UCP 600, please contact the author of this article, Daniel Day-Robinson, Day Robinson International (UK) +44 1392 271222 or [email protected]

Business ideas to work from home that can change your life

There are plenty of work from home business ideas that will allow you to make a living online. If you find the idea of ​​putting your feet up and relaxing on your couch appealing, you can change your life significantly. You can look into partnering with outside companies to build your business, or you can go the freelance contracting route to help your business grow. In any case, the opportunities to work from home are changing to better suit your needs. Companies are realizing that telecommuters are excellent employees and bring profitability to the bottom line.

If you’re wondering what’s out there, here are some great home business ideas to think about:

Professional Medical Services, Inc. – This company offers medical billing, transcription, and other services necessary to run a practice. Professional Medical Services is located in Cullman, Alabama. The company hires people to do transcription work remotely.

Professional medical services require transcriptionists to be experienced, and if you work for them, they will hire you as an independent contractor. Their competitive pay scale is based on skill and qualifications. The company says that the payment offered is the highest in the field, offering you a great opportunity to change your lifestyle.

SpeakWrite – This company deals with non-medical transcriptions and operates throughout the country. SpeakWrite provides transcription services to attorneys and others who need dictation services. Located in Austin, Texas, transcriptionists work remotely from Canada and the US.

SpeakWrite pays around $12 to $15 per hour. If you are a fast typist, you can earn more than $15 per hour. SpeakWrite is one of our most popular work from home business ideas. The company is actively looking for typists in the US and Canada. In particular, they look for typists with legal backgrounds.

Therescription – This company is a captioning, recording and transcription service that offers assistance to the entertainment industry in the field of post-production. In addition to its entertainment-oriented services, Terescription offers general transcription outsourcing for the legal, educational, and business sectors. Headquartered in Irvine, California, Terescription hires remote transcriptionists as independent contractors. Pay at Terescription is competitive, allowing you to earn a living by industry standards.

Today, we are lucky enough to have a plethora of work from home ideas available. The possibilities of finding a way to telecommute are endless. It’s an exciting time for those virtually obsessed. There has never been a better opportunity to make the move to work from home.

How toxic are the assets? – Modified Mark-to-Market (MMM) balance sheet asset valuation method

As the market continues to fall to new lows in February 2009, the toxic assets of financial institutions continue to be the focus of our policymakers and financial analysts. The bad bank-good bank dispersion appears to be in motion through the harness of stress tests by Fed officials and new Treasury Secretary Tim Guietner. There are about 18 banks that will be exposed to this process in the first stage towards cleaning up toxic assets held by the banks. Although very little has been reported on the process, it could be assumed that a type of “if what” scenario can be applied to measure the worst-case impact on your financial situation. Since the stress test may take 6-8 weeks to complete, the market has to deal with uncertainty. As uncertainty and lack of conviction will lead to more instability, we could see further deterioration in the economy and stock markets.

Financial companies comprise approximately 10% of the S&P 500 index, which is a broader measure of market performance. However, it has a critical role in sparking the healthy performance of the capital markets. To sustain dynamic growth, developed countries must provide an efficient flow of credit from savers to borrowers. Consequently, credit is the life blood of the economy and must be available to corporations and economic agents. Therefore, if banks and other financial institutions fail, they cannot provide credit and leverage. Earnings and profits help banks capitalize on their assets and provide capital for new projects, expansions, and private and social business developments that, in turn, create more jobs and prosperity for communities and individuals. Consequently, this is an important step towards lasting prosperity to nurture the financial health of banks and the financial sector. Market participants have become aware of the current pathetic and dismal state of the major financial institutions and therefore have very little desire to buy this market. Appropriately enough, institutional investors and traders do not anticipate any major stock market rally despite its oversold conditions.

There are three main methods for valuing financial company balance sheet assets; historical cost basis, mark-to-market and market-to-model. Each of these three methods provides some advantages, but none is free from limitations and dangers. After a brief review of each of these three methods in the following sections, I propose an alternative method for valuing balance sheet assets. If we agree on a practical but comprehensive approach to measuring and cleaning up toxic assets held by banks and other financial institutions, the market and later the economy should finally cut losses and begin its recovery.

The historical cost method considers the acquisition cost of an asset less its depreciation value. For example, if a piece of equipment was purchased for $1,000 two years ago, the present value could be estimated as the purchase price less depreciation for the two-year period. However, depending on the depreciation method (straight line, declining balance, and Modified Accelerated Cost Recovery System, MACRS) a business may use, different values ​​will result. This is a popular and relatively straightforward practice, as it values ​​assets at production cost or purchase price, less depreciation. Fixed and long-term assets, such as land and buildings, are valued at net historical cost and current assets at cost or net realizable value, whichever is lower. The main limitation of this method is its lack of dynamic adjustment to market conditions. Financial institutions using this method cannot capitalize from the value of their assets. In other words, the historical cost method could create a huge opportunity cost in a booming economy.

The second method is mark-to-market, which values ​​balance sheet assets based on their fair market value. This method has the ability to absorb market conditions and adjust accordingly. Consequently, as asset prices rise, banks are able to capitalize on them and, in turn, increase their lending activities. However, when asset prices fall, as in the current situation, it could literally destroy holding companies’ share values. When discovering the market price, various methods can be used to match historical values ​​and comparative methods. Both assets and liabilities could be discounted based on current market prices. Conversely, if there is no market for it, asset prices could literally drop to zero. This method has been used successfully by traders in the futures markets for many years. In futures and commodity markets, there must be a buyer for every seller, and in many cases, the clearinghouse is the other end of the transaction. During price cap movements due to significant external factors, the clearing house provides liquidity to ensure the existence of the market, thus creating the market. From now on, the mark-to-market method is a valid and realistic approach as long as a market exists. Section 475 of the Internal Revenue Code, which covers the market value method of accounting rule for taxes, states that qualified securities dealers and commodity clearinghouses when choosing market value treatment must recognize the profit or loss based on the sale price of the properties at the prevailing market rate. or fair value at the end of the reporting year.

Another method for valuing assets on the balance sheet is the mark-to-model, in which companies can develop financial models with internal assumptions. This method is much less reliable than the others, as it may be unclear how realistic the assumptions of the model variables are assigned. In addition, a company could mislead investors by hiding its model due to the “highly proprietary nature” rationale and thus having less transparency. Enron is a good example of misleading the investment community by valuing their balance sheet assets based on the model. Regardless of how complex a model may be, if there is no real counterparty to buy the assets, the model is doomed to fail.

Taking into account the limitations imposed by each of the pricing approaches mentioned above, to solve the problem of toxic assets, I propose a modified Mark-to-Market (MMM) approach in which assets would be valued based on the mark-to-market. However, the Federal Reserve would have to create an exchange rate clearing mechanism for financial assets. Doing this would create a floor for asset prices and provide a healthy dose of market confidence in times of economic contraction. Since this method is dynamic in nature, it ultimately captures high valuations during the economic boom and will bring more growth opportunities to the economy. Furthermore, the capacity and skills of financial institutions should enable them to implement adequate risk management strategies against any systematic risk. This allows them to preserve the value of their financial assets despite any liquidation and market correction. Since the Federal Reserve will always be there to be the buyer and provide liquidity, financial markets should experience relatively greater stability during turbulent times.

To lessen any uncertainty about the future of financial institutions such as Citibank and Bank of America, there must be a clear decision to adhere to an appropriate method for valuing assets on the balance sheet. Modified Mark-to-market (MMM), a dynamic and realistic asset pricing model could be used with the support of the Federal Reserve as a buyer and adviser of last resort in times of selling pressure. When there is a clear and concise established method for valuing balance sheet assets, we could see a significant change in our stock market and economy.

What is the best online auction website concept?

Let me start with the numbers of online user behavior.

Buy a product 71%

Participate in an online auction 26%

Sell ​​something online 15%

Now that so many people are involved in buying and selling online, this article becomes important where I explain types of online auction concepts and online auction websites.

Here is how the different types of online auction websites or online auction concepts work or how online buying and selling work.

(i) Direct auction There are eBay online auction websites, ebid with a process, that sellers put their auction up for sale at a fixed price, buyers come and buy the item at that price. For the same auction, sometimes buyers can also bid for a higher price and the highest bidder wins when the auction ends.

On such auction websites, sellers are required to pay the fees listed below.

(i) Article posting fees (free for limited articles)

(ii) Final Value Fees (4% for any website)

(iii) Payment gateway fees (3.9% for paypal)

So an item sold for $10, the seller comes close to $3.5 because most of that money goes to fees.

So how does the seller get more net profit from the same sales they sell online in those destinations?

Now think of a buyer: a buyer bids higher to win an item, or simply buys the item at the price listed on the website.

How many times do you go to a store and negotiate saying that you want to pay a higher price for the product? Or alternatively, how many times do you purchase the product without expecting a discount on a product?

(ii) Lowest Single Bid, Highest Single Bid.

Here the buyer buys offers, uses them to bid on the products. An auction is started and the buyer has to place his price of the product. that is, offering a value for the product. Each time the member bids it costs the member. The member can place multiple prices for the products.

Depending on the logic used, i.e. single lowest bid or single highest bid, the respective member will win. That is, if you have bid a value ‘X’ that no other member has bid and if it is the lowest that someone else has bid, the product is yours at that value ‘X’

In these types of auctions, the chances of winning the product are very low. It also depends on luck to win the product.

So, to buy a product from such auction websites, you really don’t need to be a serious buyer and have a lot of money to spare on the bidding cost because you don’t control your buying decision.

And here the most important thing is that the sellers do not upload auctions, the sellers are only the web. Therefore, the profit from the cost of the offer will go to the owners of the website. so the more people bid, the higher the profit for sellers.

There are quite a few websites that you will find if you search for the lowest single bid auctions or the highest single bid auctions.

(iii) Penny Auctions. This is an auction website like swoopo etc where the auction starts with the product price as zero and increases with each bid. To participate in these auctions you have to buy the bids and use them. Each offer will increase the price of the product. Then the countdown begins, before the timer reaches zero if there is no other buyer bidding that the product is yours for that price. however that does not happen. There is always someone who surpasses you. To participate in such auctions, you must have a lot of money and time to spare. Once again, sellers are not in control of their purchase decision, but rely instead on chance or luck. Here too if you see that with each of your bids the price increases. So the question remains whether the buyer would love to make an offer to increase the price of the product.

Here the seller is the website. All products are listed for sale by the website itself. All revenue from the cost of your offer goes to the website as profit. However, there is much debate about such penny auction websites indulging in fraud by bidding on members to keep bidding. The more members bid, the more money the website makes. Such penny auction websites are not interested in selling products, but they want you to keep bidding.

You will get a list of penny auction websites if you search for the term penny auction website.

(iv) Reverse auction

This is my favorite. You’ve seen auctions that ask the buyer to bid to increase the price of the product, you’ve seen auctions that have hurt the seller’s bottom line. The reverse auction works to benefit both the buyer and the seller. In the reverse auction the price of the product falls all the time until someone buys it. The auction starts at the retail price of the product and the price of the product goes down. The current price is hidden from the buyer. The buyer pays a small amount to see how much the price of the product has dropped. The buyer then has some time to decide if he wants to buy the product at that reduced price. He may keep checking the price of the product. Here the buyer is always in control of his purchase decision and does not depend on chance or luck. If you are a serious buyer, you can always buy the product at any price below the retail price.

Here the seller lists the price of the product. Sellers also benefit from this, as the price of the product increases every time the buyer sees the current price.

As the buyer’s price decreases, the seller’s price increases.

This price increase that the seller receives helps to increase the net profit for the seller.

This unique concept is found at http://www.bestebazaar.com/contents.php?show=howitworks currently and is not seen on any other website. But I am sure there will be more to follow this concept as it benefits many online sellers and buyers.

Medical Transcription: Production Pay and Overtime

Medical transcriptionists are often paid based on their output. In most cases, compensation is based on how many lines a person can transcribe, which is multiplied by their rate per line. Sounds pretty simple, right? Of course, that first assumes you understand how a line is defined. We’ve had that discussion here many times, so we won’t go into it now.

A question that is often asked is when someone is paid for production, what about overtime pay? First, let’s be very clear, overtime is only something that is given to those who work as employees of a company. Does not apply if you are an independent contractor. If you are classified, as some MTs have been, as a “statutory employee” then it applies to you. In the past, there has been a misunderstanding that overtime laws do not apply to the category of statutory employees; This is incorrect.

So how does it work? If you are a paid production employee, are you entitled to overtime pay? In that same light, what other things might apply to compensation?

First, these issues are determined by the Fair Labor Standards Act. Requires that a non-exempt employee be paid at least the minimum wage AND be entitled to overtime pay for all hours worked over 40 in a week. It would seem simple, right?

You might wonder why I also include the minimum wage in this discussion. When someone is just starting out in this profession, it is not uncommon for them to be slower than they will eventually be. If you get paid for production, that significantly lowers your income. However, at no time should your wages be less than the federal minimum wage of $7.25 per hour. That means long gone are the days when new hires were told to just “work until they hit their line quota.” That doesn’t work without making sure you paid at least minimum wage and pay if the person works more than 40 hours in a workweek. Yes, that means you must keep a time sheet for yourself and your employer. It serves as verification of the hours worked. Also remember that your state laws may have a higher minimum wage. If that is the case, that is the rate that should be used as the standard. For example, the minimum wage in Oregon is $8.40, so if you live in Oregon, that’s the number you use. This applies based on where the employee lives and works, not where the employer is located.

Now let’s talk about overtime. You have all been there. The workload suddenly increases and everyone is asked to do a little more to meet client deadlines. In that case, if you are an employee, you are entitled to be paid overtime pay at one and one-half times your normal hourly rate.

I just heard you say, “hourly rate? I get paid per production!” Yes, and you still have an hourly rate. The way to arrive at your hourly rate is to take your total lines, multiply your pay rate, and divide by your total hours worked. That will give you your average hourly rate. Using that rate, you can calculate what you are owed in overtime pay. Let’s make an example for that:

Total lines for the week: 8,500

Pay rate per line: $0.08 per line

Total payment (line times fee): $680.00

Total Hours Worked: 50 (You have 10 hours overtime)

Your average hourly rate: $13.60

Remember that while overtime is paid at one and one-half times the hourly rate, your previous production pay already paid you for the hour, so you are missing “half” of the overtime pay. So, for every hour of overtime pay, you would receive an additional $6.80, for a total of $68.00 ($6.80 for the 10 hours of overtime).

Your Total Payment: $748.00

The law also says that it is not okay to “average” two weeks of hours, nor is it okay to use “compensated time” instead of paying overtime. It also specifically says that an agreement between the employer and the employee does not deny the employee’s right to overtime pay. Many times an employer will say that overtime is not allowed unless approved in advance. Even that does not negate the law. I’ve heard MTs talk about being the only person working a night shift where a statistical report came in and they had to do it, throwing that person into an overtime situation. What is OK is for your employer to ask you to take that extra time off on another day, as long as it is in the same week. If it happened to be the last day of your work week, then overtime applies.

While it is easy to say that employers are responsible here, I believe medical transcriptionists have a responsibility to know and understand what their rights are. When interviewing for a position as an employee, this is definitely a topic to cover! It’s part of fully understanding how you are compensated.

Hire iPad App Developers – Top Notch Apple iPad App Development Service Provider

Today, the iPad market is in its booming era due to the features, capacity, and capabilities of it. With the boost of its market, the demand for iPad developers has also increased. Therefore, the availability of them has been increasing rapidly. It is good news for its users to make their device more attractive, professional, advanced and eye-catching than others. For that, you need to hire iPad app developers that are available at an affordable cost considering the skills and creativity of them.

The iPad itself contains the best features and functions in the industry that give users more than they know. Today, this device rules the tablet market which contains the largest number of users. It is very useful to fulfill small business and enterprise purposes as it works like a computer. It has changed the world view when it comes to mobile technology and computer technology. Therefore, they are the most needed in the market.

They can develop tremendous applications that attract the viewer more. As it has been launched by Apple, the brand itself shows the popularity and demand in this technology market. The iPad app developer has perfect knowledge of Apple SDK and that enables them to produce dynamic and magnetic apps for their clients.

The games appeal to everyone. The game takes us back to our childhood. Everyone has played and plays inside or outside, on mobile or computer. But, its users can play 3D games with the best quality and amazing features and functions on its 9.7-inch high-resolution liquid crystal multi-touch screen tablet PC with eye-catching graphics, and which produces the real game for its users. They also have the ability to design wonderful games for him. You can also hire them for iPad game development as they are very experienced in this service. Therefore, you can also hire iPad game developers from the best game app service provider company.

Their great skill and vast experience enables them to provide the best iPad software development service for small businesses and large organizations. They are at the top in providing their business applications as well as enterprise applications in the market. If you are doing business then you should hire an iPad app developer to get the best business apps which are very useful in your business and also save your cost and time.

For all iPad development services, its users can contract them under the following conditions:

• Hourly and daily basis for short-term projects

• Weekly and monthly basis for medium term projects and

• Annual basis for long-term projects

Depending on the demand and need, you can get them from the mobile and tablet development experts.

Then get the benefit by hiring iPad app developers for Apple’s top-notch iPad app development service.

IFRS vs. GAAP

There are two sets of accepted accounting rules for international use: American standards called Generally Accepted Accounting Principles (GAAP) and international standards known as International Financial Reporting Standards (IFRS). The first is developed by the Financial Accounting Standards Board (FASB), whose power is derived from the United States Securities and Exchange Commission (SEC). The second is developed by the International Accounting Standards Boards (IASB), an independent accounting standards-setting body based in London. Although GAAP and IFRS share some similarities in their financial statement presentation, they do not agree on all issues. There are differences in reporting and classifying income statement and balance sheet items between these two sets of rules.

Unlike the more detailed GAAP rules-based standard, the principles-based IFRS tends to be simpler in its accounting and disclosure requirements. The Income Statement is a mandatory statement under IFRS as it is under GAAP and is known as the “Statement of Comprehensive Income”. The IFRS statement of comprehensive income is similar to that used by GAAP; however, there are few differences when comparing these two income statements.

GAAP income statement presentation follows a single-step or multi-step format. However, IFRS does not mention a single-step or multi-step approach. Under IFRS, entities must classify expenses by their nature (such as the cost of material used, direct labor incurred, advertising expenses, depreciation expense, and employee benefits) or by their function (such as cost of goods sold, selling expenses, and administrative expenses). Although GAAP does not have such a requirement, the SEC does require a functional filing. While GAAP defines operating income, IFRS does not recognize this key measure. Additionally, extraordinary items are prohibited by IFRS; while, under GAAP, entities must report extraordinary items if they are of an unusual nature and of infrequent occurrence. The portion of profit or loss attributable to the non-controlling interest (or minority interest) is disclosed separately in the IFRS statement of comprehensive income. Additionally, while IFRS identifies certain minimum items that must be presented in the statement of comprehensive income, GAAP does not have minimum reporting requirements. However, the SEC imposes more stringent filing requirements.

Balance sheet presentation is a requirement under both GAAP and IFRS. The most visible difference is how IFRS refers to this statement as “Statement of Financial Position” instead of Balance Sheet. The accounts in the statement of financial position are classified under IFRS, which means that similar items are grouped together to arrive at significant subtotals. In addition, the IASB indicates that the parts and subsections of the financial statements are more informative than the whole; as a result, the IASB does not encourage the reporting of summary accounts per se (eg total assets, total liabilities, etc.). Unlike GAAP, IFRS current assets are generally listed in the reverse order of liquidity. For example, under IFRS, cash is listed last. In addition, most companies under IFRS present current and non-current liabilities as separate classifications in their statements of financial position, except in industries where the presentation of liquidity provides more useful information. It is crucial to point out some important differences in information elements on the balance sheet between GAAP and IFRS.

In the current assets section, inventory is valued differently under IFRS. The use of last in, first out (LIFO) is prohibited under IFRS. Also, unlike GAAP, if inventory is depreciated at the lower of cost or market value, it may be reversed in a later period up to the amount of the prior depreciation under IFRS. In addition, IFRS allow the revaluation of property, plant and equipment and intangible assets and report them as other comprehensive income.

IFRS uses different terminology in the equity section of your statement of financial position. For example, share capital is the par value of issued shares. It includes ordinary shares (called common shares) and preferred shares (called preferred shares). The issue premium under the equity section of IFRS is the excess of the amounts paid over the face value.

A major problem caused by the disparity related to the presentation of GAAP and IFRS financial statements is the lack of uniformity. This issue creates difficulty in comparing financial statements across GAAP and IFRS. As a result, it is rational for US companies that have subsidiaries abroad to convert to IFRS to make it easier for stakeholders to make comparisons and enable them to access global capital markets. However, switching to IFRS may not be beneficial for US small businesses; the conversion will result in incremental costs that could outweigh the benefits.

Are you ashamed of these trading mistakes?

In my negotiation interview with Camp Group CEO Jim Camp, he pointed out that there is a difference between tactics and principles.

As a pilot in the Air Force, you were taught that a principle will always defeat a tactic. Therefore, it is very important to observe the difference between a tactic and a principle.

A tactic is something that is designed to take advantage of a weakness in the opponent.

A principle is something constant and that never changes.

I will illustrate the above with an example of the negotiation for the purchase of a new car. We will look at the tactic of using reciprocity and blame against the principle of honesty.

We’ve all seen it on TV and in movies and it’s probably happened to all of us at one point or another: Good Guy, Bad Guy. This classic negotiation tactic is still taught and is still frequently applied.

At the car dealership, it goes like this: You have decided on the make and model of the car you want and are now negotiating the price. The salesperson excuses himself to go talk to the sales manager about the price he asked for. He comes back and says he really fought for you and could only get the sales manager to accept a small discount.

So again you say that you will go to bat for you, go over the sales manager and talk to the general manager, even though this puts your job at risk, you really want to help.

Perhaps someone who is young and going through their first negotiation could fall for this classic tactic. But anyone who has been through some negotiations or who has studied negotiations will immediately see this tactic for what it is.

This is where the clash between tactic and principle takes place. The principle here is that of honesty. People value honesty and it is necessary to conduct business properly. Regardless of how well the seller executes the good boy, bad boy tactic, if there is a hint of dishonesty in it, the plan will fall apart and the buyer will lose trust and respect for the seller.

Yes, you can still buy the vehicle if the price works for you, but we can be sure that you will not send references to this seller and that the seller’s career will be short-lived.

Never try to use a tactic that will compete with a principle. Every time you try to implement a negotiation tactic, think carefully about it and make sure it is backed by proper principles.